Western Metallica Announces Expiry of Non-Binding LOI With Emerita Resources and Permit Renewal for Nueva Celti

Executive Summary of Recent Release

• Western Metallica Resources Corp. announced the expiry of a non-binding Letter of Intent (LOI) with Emerita Resources Corp. regarding the sale of its Nueva Celti property in Spain.
• The company does not plan to proceed with this transaction following the expiry.
• Simultaneously, the company secured a three-year extension for Exploration Permit No. 7996 at Nueva Celti, valid until February 27, 2029.

Liquidity and Cash Flow Impact

• The expiry of the LOI eliminates a potential near-term cash infusion of $150,000 plus share consideration ($250,000 value).
• Given the company's outstanding debt to the CEO of $300,000 with no disclosed repayment plan, losing this monetization opportunity is financially significant relative to its size.
• The permit renewal extends asset life but does not generate immediate revenue or cash flow.

Corporate Structure

• Name: Western Metallica Resources Corp. (WMS).
• Flagship Project: Penedela gold project in Asturias, Spain.
• Secondary Asset: Nueva Celti copper project in Andalusia, Spain (Subject of recent LOI expiry).